World Bank Pledges $40 Billion Financial Support to Pakistan under New Country Partnership Framework
The World Bank has committed a major financial support package to Pakistan, pledging $40 billion over the next 10 years under its newly approved Country Partnership Framework (CPF). The package will be primarily disbursed through the International Development Association (IDA), with approximately three-quarters of the total amount, while the remainder will come through the International Bank for Reconstruction and Development (IBRD). Additional funding will be provided by the International Finance Corporation (IFC), further expanding the framework’s scope.
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The CPF will focus on six key sectors to address Pakistan’s critical socio-economic challenges. The areas of focus include tackling child stunting, addressing the impacts of climate change, improving educational outcomes, ensuring clean water access, and increasing both public and private investments to drive inclusive development.
Key Development Targets Under CPF:
- Tax Revenue: Boosting tax revenue to over 15% of GDP to strengthen fiscal stability.
- Renewable Energy: Expanding renewable energy capacity by 10 gigawatts to combat the energy crisis and reduce dependence on fossil fuels.
- Education and Healthcare: Providing quality education to 12 million students and ensuring healthcare access for 50 million people.
- Clean Water and Sanitation: Delivering clean water and sanitation services to 60 million citizens.
- Food Security and Disaster Management: Improving food security for 30 million people and benefiting 75 million through enhanced disaster management and risk reduction strategies.
- Women’s Health: Improving maternal and reproductive health by increasing access to contraception for 30 million women.
The approval of this 10-year CPF, supported by 19 out of 24 World Bank directors, is seen as a transformative step for Pakistan. It aims to address both immediate and long-term development needs, with a focus on sustainable growth and poverty alleviation.
